EconomyEnvironment
News 4 of 30

India's Strategic Petroleum Reserve (SPR) Covers Just 7 Days of Demand at 5.5 mbpd vs US's 20 Days and China's Larger Stockpile

EconomyInfrastructureIntl. RelationsHIGH
Target:UPSC GS-IIIMPSCSSC GATeachingPrelims HighMains HighStatic GK Link
18 May 2026
~2 min
Source: The Hindu
Key Data:36.7-39 million barrels5.5 mbpd7 days coverage400 million barrels (US)1.4 lakh tonnes LPG80,000 tonnes daily LPG use
Bodies:International Energy Agency (IEA)Petronet LNGBPCL
Practice MCQs from today's news ▸
What This Article Covers

1.India's strategic petroleum reserve (SPR) of 36.7-39 million barrels covers only about 7 days of its 5.5 million barrels per day consumption, a fraction of reserves held by the US and China.

2.The US SPR, built after the 1973 oil shock, holds 400 million barrels (20 days' cover), while China's roughly 900 million barrels provides even greater security, enabling them to hedge against supply shocks.

3.India's vulnerability is starkest in LPG (1.4 lakh tonnes storage vs 80,000 tonnes daily use) and LNG, where it lacks underground storage, impacting fertilizer production and exposing it to spot market volatility.

The Big Picture
Prelims · HighMains · High

India's strategic petroleum and gas reserves are critically low compared to global peers, exposing energy security risks. While the US SPR provides 20 days of consumption and China's is even larger, India's SPR covers just 7 days of its 5.5 mbpd demand, with severe gaps in LPG and LNG storage. This structural vulnerability highlights a long-standing policy gap in energy security planning.

Exam Lens

Quick Exam Facts From News

India's SPR Capacity36.7 - 39 million barrels
India's Daily Oil Consumption5.5 million barrels per day (mbpd)
India's SPR CoverageAbout 7 days
US SPR Capacity (Current)400 million barrels
US SPR CoverageRoughly 20 days
India's LPG Storage1.4 lakh tonnes
India's Daily LPG ConsumptionAbout 80,000 tonnes

1-Minute Revision

  • ›India's SPR Capacity: 36.7 - 39 million barrels
  • ›India's Daily Oil Consumption: 5.5 million barrels per day (mbpd)
  • ›Target this Data: India's SPR capacity is 36.7-39 million barrels, covering ~7 days of its 5.5 mbpd consumption.
  • ›Target this Nodal Body: The International Energy Agency (IEA) recommends 90 days of oil stock cover for member countries.
  • ›Target this Comparison: US SPR is 18 times larger than India's; China's reserve is roughly 900 million barrels.

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

Which international organization recommends that member countries maintain oil stocks equivalent to at least 90 days of net imports, as referenced in the context of strategic reserves?

Q2Statement-basedHard

Consider the following statements regarding India's strategic petroleum reserves as discussed in the article:

1. India's Strategic Petroleum Reserve (SPR) program was formalized in the early 2000s following the post-1991 economic vulnerability.

2. India's SPR capacity of 36.7-39 million barrels provides a supply cover of approximately 90 days as per IEA norms.

3. The United States built its SPR in the aftermath of the 1973 oil shock, which is currently about 18 times larger than India's reserve.

Which of the statements given above is/are correct?

Q3Data-centricMedium

According to the article, what is the approximate daily consumption of liquefied petroleum gas (LPG) in India, which highlights the inadequacy of its 1.4 lakh tonnes of storage?

Q4Application/ImpactMedium

The article argues that India's inadequate strategic reserves create a 'much deeper problem'. What is a primary long-term consequence of this vulnerability, as implied by the editorial?

All 15 MCQs ▸
Read original article from The Hindu
You finished this topic
Practice 3 MCQs from this newsNext Article
Explore Related Topics
EconomyView Topic MCQs →InfrastructureView Topic MCQs →Intl. RelationsView Topic MCQs →
PreviousG7 Paris Meeting Seeks IMF-World Bank Aid for Conflict-Hit Nations, Diversifies Rare Earths Supply Amid China DependenceNext SC Directs Jharkhand to Notify 314 sq km Saranda Forests as Wildlife Sanctuary, State Files Review Petitions
Related Current Affairs
Economy Current Affairs

India's LNG Imports Rise 15.4% in May-July as US, Nigeria, Oman Offset Strait of Hormuz Crisis

India successfully diversified its LNG import sources during the Strait of Hormuz crisis, increasing imports by 15.4% in May-July 2026. The US became the top supplier, while imports from Qatar plummeted 91.3%, highlighting India's energy security strategy amid geopolitical turmoil.

Economy Current Affairs

US Diesel Export Ban Proposal: Global Supply Crisis & Impact on India's Net Exporter Status

A US proposal to restrict diesel exports, supported by President Trump, threatens to remove the single largest source (20%) of globally traded diesel from the market. For India, a net diesel exporter, this could mean higher export margins for refineries like RIL, though higher export taxes and domestic demand will limit gains.

Economy Current Affairs

India's 67% LPG Imports from US: WLGA CEO Stresses Diversification, Storage Expansion, Freight Cost Management

India's heavy reliance on US LPG (67% of imports) is not a comprehensive solution to supply disruptions. The World Liquid Gas Association CEO recommends diversifying sources (Canada, Algeria, etc.), expanding domestic storage capacity, and actively managing freight costs to buffer against market volatility.

Intl. Relations Current Affairs

NDB Approved 139 Projects Worth $43 Billion; India Urged to Expedite Rupee Bond at BRICS

The 18th BRICS Summit concluded in New Delhi, highlighting India's strategic dilemma between non-West and anti-West identities. The New Development Bank (NDB) remains a practical tool, but its limited lending ($43 billion in 139 projects over a decade) and slow disbursement ($20 billion) lag behind AIIB. India must push the long-delayed rupee bond and expand local-currency lending to reduce dollar dependence without strengthening China's position.

Economy Current Affairs

Tax Exemptions for Foreign Firms Extended to 2041, Boost for Apple's India iPhone Manufacturing

India has extended tax exemptions for foreign companies supplying machinery to contract manufacturers until 2041, a major win for Apple which is scaling iPhone production. The move also covers component storage in customs-bonded areas and eases rules for data centers, aiming to boost manufacturing and exports.

Intl. Relations Current Affairs

US President Trump Backs India-Middle East-Europe Economic Corridor (IMEEC) Against Iranian Threats

US President Donald Trump has announced strong US support for the India-Middle East-Europe Economic Corridor (IMEEC), linking it to the need to shift West Asian energy infrastructure away from Iranian checkpoints after Iran's attacks on commercial shipping. This is a major geostrategic endorsement for a key G20-launched connectivity initiative that directly challenges Iranian influence in the region.

Intl. Relations Current Affairs

India-Bhutan Sign ₹4,000 Cr LoC; 12 New PTA Projects Under 13th FYP Approved

India and Bhutan reviewed development cooperation, signed a ₹4,000 crore concessional LoC, and approved 12 new PTA projects under Bhutan's 13th Five-Year Plan (2024-29). This reinforces India's position as Bhutan's largest development partner, with total support of ₹10,000 crore for the plan period.

Economy Current Affairs

ONGC to Reserve 50% of 1.75 MMT Mangaluru Storage for Strategic Petroleum Reserves

ONGC will reserve 50% of its 1.75 MMT Mangaluru oil storage facility as strategic storage, while the rest will be used commercially. India's current storage capacity covers 74 days of net crude import requirements, and the government is planning 6.5 MMT more at Chandikhol and Padur. This is a key energy-security move relevant to infrastructure and strategic reserves questions.

Start Today's Quiz(15 Qs)